The Imperative for Diversification

The panel, featuring Leandro Furno, Supply Chain Director Americas, Lacoste Yelena Mogelefsky, Senior Vice President of Sourcing and Production, Komar Kerim Antoine Kfuri, MBA, President & CEO, The Atlas Network, fired up the discussion centred on the increasing need for retailers to diversify their supply chains beyond China. The panelists highlighted the challenges posed by geopolitical tensions, rising costs, and the need for greater agility and resilience.

"You have to be flexible on your sourcing matrix. You don't have to have one source supplier."

Leandro Furno emphasized the importance of a balanced sourcing strategy, considering local, regional, and global production options.

Key Strategies and Considerations:

• Nearshoring: Exploring opportunities to source closer to consumer markets, such as in the Americas, to reduce lead times and transportation costs.
• Regional Diversification: Shifting production to other Asian countries like Vietnam, Cambodia, Bangladesh, and Sri Lanka to mitigate risk and increase flexibility.
• Tiered Sourcing: Developing relationships with a range of suppliers, from tier 1 to tier 5, to ensure supply chain resilience.
• Technology and Visibility: Leveraging technology to enhance supply chain visibility, control, and efficiency.